Tag Archives: Medicaid

Pharma makes hundreds of billions of dollars with government-subsidized Medicaid: buying their overprescribed psychiatric drugs

WHILE YOUR three-part series exposed a broken disability system and the difficult choices being made by today’s underclass, it did not mention the biggest welfare recipient of them all — the pharmaceutical corporations. They make hundreds of billions of dollars with government-subsidized Medicaid insurance buying their overprescribed psychiatric medications — drugs that are systematically promoted through sophisticated, but scientifically disputable, public relations campaigns.

Corporations work with the field of biological psychiatry to create huge markets for their medications for ADHD and bipolar and depressive disorders. While these medications are hyped as being a cure for mental disorders, their dangerous side effects and long-term consequences are underreported. Sometimes they can even create or perpetuate the very mental disorders that they are supposed to cure.

Texas Doctors Prescribe $47 Million Worth of Antipsychotic & Anti-Anixety Drugs, Primarily for Kids—One Child Psychiatrist Alone Wrote 27,000 Prescriptions For Xanax

With little oversight and apparent carte blanche, a relative handful of Texas physicians wrote $47 million worth of Medicaid prescriptions for powerful antipsychotic and anti-anxiety drugs over the past two years, according to a Star-Telegram analysis. The top five doctors alone wrote $18 million worth. Grassley asked Texas and other states for the top 10 prescribers who billed Medicaid for certain drugs. The Star-Telegram used prescriber numbers to identify the doctors, then sorted and tallied the drugs they were prescribing. Also reviewed was information on other mental-health drugs that have cost taxpayers about $1.3 billion during the past five years.

Most of the drugs have gone to children and adolescents, although prescribing the drugs to children, such as a toddler, is considered “off-label” — uses not approved by the federal Food and Drug Administration. Now the state’s Medicaid program is among others under scrutiny, after Sen. Charles Grassley, R-Iowa, began investigating the use of mental-health drugs this year.

Psychiatrist on Payroll of Glaxo Pleads Guilty to Research Fraud

A psychiatrist on the payroll of GlaxoSmithKline has been sentenced to 13 months in prison after pleading guilty to committing research fraud in trials of the company’s antidepressant Paxil on children. GlaxoSmithKline, manufacturer of Paxil, paid Palazzo $5,000 for every child she enrolled in the study. The case’s significance goes beyond simple research fraud, as Glaxo is now defending itself against charges that for 15 years it deliberately concealed evidence that Paxil increases the risk of suicide in children. Maria Carmen Palazzo is already serving a sentence of 87 months for defrauding Medicare and Medicaid.

EDITORIAL: Why are doctors writing so many prescriptions?

Grassley, a member of the Senate Finance Committee, wrote to state Medicaid agencies earlier this year, asking them to list their top 10 prescribers of eight drugs commonly used in psychiatry. It may be that these doctors have good reasons for writing the most prescriptions for these drugs, such as OxyContin and Xanax, but it might also point out instances of overuse or even fraud. In Florida, for example, one physician wrote 96,685 prescriptions for mental health drugs over a 21-month period. That works out to more than 150 prescriptions a day, seven days a week, for nearly two years.

Grassley: Are high prescription rates a sign of fraud?

A Miami doctor wrote nearly 97,000 prescriptions in 18 months for mental health drugs. An Ohio physician wrote more than 100,000 prescriptions in two years. A Texas doctor wrote more than 14,000 prescriptions for the anti-anxiety drug Xanax. These alarmingly high prescriptions numbers for mental health drugs covered by Medicare and Medicaid have prompted Senator Charles Grassley (R-Iowa) to call for an investigation, the Associated Press reports.